Beijing – China’s consumption of polyurethane feedstocks, including TDI, polymeric MDI, monomeric MDI and polypropylene glycol, shrunk by 24% over the first half of 2020, to 2.2m tons.
The country’s production of these feedstocks was trimmed by 27%, to 3.2m tons, according to data from Chem366.com. This is the official data disclosure media outlet of CPUIA, China's Polyurethane Industry Association.
It is the first time that China’s PU sector has registered a decline in either consumption or production since records started.
A number of diisocyanate makers halted production or lowered utilisation rates amid the coronavirus pandemic. Tosoh’s MDI plant in Ruian, Zhejiang province, for example, suspended production in early February, and did not resume operations until August.
Refrigerators, freezers and the cold chain are among the application segments that showed moderate growth despite the lockdown. Building and pipe insulation, automotive, mattress and couch segments have been stagnant, according to CPUIA data.
CPUIA expects the market is expected to rebound over the second half of 2020, thanks to a turnaround in demand and low inventory from H1.